European consumers embrace digital car finance, but trust barriers remain

European consumers are increasingly willing to arrange vehicle finance entirely online, but differing concerns around trust, security and support are shaping adoption across individual markets, according to new research from Codeweavers.

The digital retail solutions provider surveyed more than 5,000 consumers across the UK, France, Germany, Italy and Spain, finding strong appetite for digital finance journeys when backed by affordability tools, clear information and trusted providers.

Spanish consumers showed the greatest willingness to embrace fully digital finance, with 71% saying they would be open to arranging finance entirely online. This was followed by the UK at 66%, Italy at 64% and Germany at 61%.

France was the most hesitant market, with 48% of respondents open to a fully digital finance journey.

The research found that the factors limiting wider adoption varied significantly between countries.

In France, 39% of consumers said they preferred to speak to someone directly before committing to finance, while 36% cited concerns about data security and privacy.

Italian consumers were more concerned about navigating the process without assistance, with 36% worried about making mistakes when completing finance independently.

Data privacy and security emerged as the leading concern in both Germany and Spain, cited by 37% and 49% of respondents respectively.

Codeweavers also identified demand for digital tools that could improve consumers’ confidence and understanding when arranging finance.

In Germany, 46% of respondents wanted transparent breakdowns of costs, fees and interest rates, while the same proportion highlighted monthly payment calculators. Some 42% of German respondents said they had never previously used an online payment calculator.

Consumers in Spain and Italy placed greater emphasis on simple explanations of finance terms and conditions, cited by 47% and 37% respectively. French respondents prioritised transparent cost breakdowns at 41%, followed by personalised offers at 36%.

“There’s a common assumption that digital finance adoption is simply about improving technology, but the findings show something more nuanced. Consumers across Europe are open to digital journeys, yet the trust barriers differ by market.

“Some need reassurance and human support, others need clarity around finance terminology, while many remain concerned about data security. Providers that recognise these differences will be better positioned to capitalise on the opportunity of digital finance.”

The findings suggest lenders, retailers and manufacturers may need to adapt their digital finance journeys to the expectations of individual markets rather than adopting a single approach across Europe.

The results form part of Codeweavers’ new Car Finance Market Trends and Buyer Behaviour Report, which examines vehicle finance attitudes, digital adoption and consumer behaviour across European markets.